Justin Sun crypto investment experienced turmoil after his disclosure of $75 million worth of World Liberty Financial tokens experienced a freeze. The freeze affected tokens associated with his first investment in the Trump-supported crypto venture.
Details of the Token Freeze
Sun reported on X that his World Liberty Financial holdings were frozen for no reason. He deemed the action “unreasonable” and urged the World Liberty Financials team to release the tokens.
Justin Sun confirmed his World Liberty tokens were frozen
The China-born cryptocurrency mogul did not mention what operations or how many tokens were frozen. Blockchain data subsequently revealed that one wallet belonging to Sun, which held approximately 545 million tokens, was blacklisted.
To the World Liberty Financials team and the global community,
As one of the early major investors in World Liberty Financials, I have contributed not only capital but also my trust and support for the future of this project. My goal has always been to grow alongside the team…
— H.E. Justin Sun 👨🚀 (Astronaut Version) (@justinsuntron) September 5, 2025
World Liberty Financial’s Response
World Liberty issued a statement acknowledging “community concerns” over wallet blacklists. The firm did not name Sun but made it clear that it acts against “malicious or high-risk activity.”
World Liberty Financial confirmed wallet blacklists in a public statement.
The World Liberty Financials team went on to explain that the project has no interest in blacklisting any participant. Instead, its actions are designed to benefit the broader community of token holders.
Tron Spokesperson Confirms Ongoing Talks
Tron spokesperson has, however, confirmed to Reuters that Sun and World Liberty Financial team had active negotiations. The spokesperson explained that there were still communications regarding the locked-up funds.
The announcement was meant to reassure stakeholders that the matter could be resolved through negotiations between the two parties.
Justin Sun Investment in Crypto and Connections to Current Trump Family
Justin Sun’s crypto investment has close ties to the Trump family through World Liberty Financial. Eric Trump and fellow members have shared the same podiums as Sun at global crypto summits.
Eric Trump and Justin Sun appeared together at major global crypto events
Sun and Eric Trump have consistently complimented each other’s business ventures on X, extending the notion of close association between the China-raised crypto investor and Trump family business interests.
Early Capital Investment in World Liberty
Sun’s early investment in World Liberty was $30 million, and this was equal to the company’s initial funding need. He later announced that his total contribution was $75 million.
His early contribution set up the company’s operations and its anchor stablecoin, USD1. The investment positioned Sun as the second-largest known backer of the project.
Trump Family’s Crypto Wealth
Trumps’ venture into World Liberty has brought hundreds of millions of dollars in token sales. This comes while Donald Trump continues to openly remain supportive of the crypto space.
This support has been monitored for conflict of interest, especially because several Trump business associates, including Sun, have previously faced regulatory attention.
Regulatory Context and SEC Case
The United States Securities and Exchange Commission previously initiated a civil fraud suit against Sun. Rumors in February suggested that negotiations were ongoing to resolve this under the Trump administration.
This background places Justin Sun’s investment in crypto in the limelight, given his project membership directly linked to the Trump family businesses.
Sun Indicators More Purchases Despite Freeze
Despite the freeze, Sun indicated in another X post that he would purchase an additional $10 million in World Liberty tokens. He was even going to invest $10 million in a U.S.-listed stock that is correlated with the tokens.
This announcement confirmed Sun’s backing of the project despite waiting for confirmation on his frozen funds.
Market Data on World Liberty Tokens
Blockchain analysts indicated that Sun moved 50 million tokens before the wallet freeze. The frozen wallet retains over 545 million tokens.
At the same time, CoinGecko indicated that World Liberty Financial tokens traded at around $0.18, half the price of $0.30 on their inaugural earlier this week.
Investor Restrictions in Place
World Liberty previously showed that early investors can only sell 20% of their share. Such a cap can drive the decision to freeze or monitor specific wallets.
Such restrictions are designed to assist in maintaining stability in the market, particularly when there is a first-time trading period for a recently listed token.
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Market Outlook for Justin Sun Investment in Crypto
The fate of Justin Sun investment in cryptocurrency through World Liberty rests on the unfreezing. The legitimacy of the project will also rely on enjoying trust from early adopters and public investors.
Sun is now focused on increasing his holdings, and ongoing negotiations with the World Liberty Financials team may determine if his frozen tokens are returned.
